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>> brian: great interview, you'll be joining me on radio. real quick, on what we were saying before and the problems with xm sirius, if you're upset that fox could be going away, tweet at sirius xm or go to their web site, see you tomorrow. bill: all right. good morning, everybody. new details just into fox news from the ntsb and this investigation into issues with one of the largest commercial planes you will find anywhere. the focus on the battery maker used in boeing's dreamliner jets. this is big story. we've been watching it for some time. now we have a little bit more direction as how safe it is on board. we're back from washington, d.c. he is sconced back in our home in new york. martha: good morning. good to be back. good morning. i'm martha maccallum. that is not the way you want to leave a plane necessarily. so a burning battery is what
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forced the emergency evacuation in japan of everybody on board and led to the frownedding of the airliner jets around the world. here is what the burned out battery looks like. bill: don't want one of those either. dan springer at boeing's headquarters. what more can you tell us about the investigation there? >> reporter: investigators with the national transportation safety board are expected to be in tucson, arizona for tests on the battery charger that had the fire at boston logan's airport. the ntsb released a statement saying the battery was not overcharged. when you look at picture you can tell it overheated. secure plane is one that made the charger. they will download the nonvolatile memory from the apu controller. in boston it was the auxiliary power unit, in other words the backup battery that overheated and eventually caught fire. that sits in the back of the
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plane and provides power when the engines are off. this trigger ad comprehensive review of the 787 electrical system. when there was another battery that overheated on a japan airlines flight a few days later the whole dreamliner fleet was grounded. bill? bill: dan, it seems the japanese and american authorities have different investigations. what are you learning about that? >> reporter: they are different. they're going in sort of different tracks but they're also loosely coordinated. japanese transportation officials seem to be focusing their attention more on the battery manufacturer. they're made in japan by one of the country's oldest companies and biggest battery manufacturer. gsausa corporation. the two cereal numbers of battery numbers that overheated are close together that led some people to believe and really hope it was a bad batch of batteries. as the investigation moves along that appears less likely. the source said the investigators have not found any anomalies yes.
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plus the two planes that had a problem were assemble ad year art apart. they are focusing on the electrical system how it interacts with batteries. investigators were concerned years ago about the use of lithium-ion batteries. they're prone to over heating and having fires being caused. until they figure out what went wrong, the dreamliner fleet which probably stay grounded even though boeing submitted suggestions to get back in the air like having further testing on the ground and instructing pilots what they can do before taking off. that items seems unlikely the faa will not let the fleet get back up in the air until they pinpoint problems with the batteries. bill: dan springer in seattle. it is the future for boeing. more than 800787s are on order. united airlines, the biggest american customer, ordered 50 dreamliners. each 878 carrys -- 787
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carrieses 250 passengers. they have the batteries in the center the investigation. three minutes past the hour. martha. martha: back to see now where the house majority leader says they will have a vote tomorrow on the debt issue. guess what they will do? they will be allowed to keep borrowing money through may 19th. they will hit the debt ceiling mid-february. this pushes this whole thing back a couple months. doug mckelway is live in washington with the story. doug, surprise, surprise, right? >> reporter: surprise, surprise, martha. this is the no budget, no pay bill. it would suspend the debt limit until may 19th at which time the debt limit would automatically increased beyond the present $16.4 trillion to accommodate whatever the u.s. borrowed at that time. it makes the extra borrowing contingent upon this. if either chamber of congress fails to pass a budget by april 15th.
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all income earned by members of that respective chamber would be settle aside. no budget, no pay. republicans ha been frustrated by the senate's failure to pass a budget the last four years. in his inaugural address yesterday some say the president set a not so conciliatory tone about the debt ceiling and other impasses with the gop-controlled house. >> we can not mistake absolutism for principle or substitute speckel for politics, or treat name-calling as reasoned debate. >> reporter: couple blocks away at a breakfast at a restaurant he told me this morning there has been no communication with the white over this debt ceiling bill that will be voted on in the house tomorrow, martha. martha: on the face of it, it appears if you're not doing your job you really shouldn't be paid for it. they haven't done the job when it comes to a budget for four years now. republicans do appear to be suspicious of this plan,
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why? >> reporter: democrats have been setting very strong signals they want more tax increases or at least revenue enhancements through closing loopholes and deductions. majority leader cantor responded to that yesterday. listen up. >> well, you know i fundamentally disagree. i don't think most americans would say to give more money to washington to have washington spend their money is a way to help anybody. >> reporter: also yesterday, the president strongly defended social security, medicare and medicaid and with anp a parent jab at his defeated opponent mitt romney said those entitlement do not make us a nation of takers. republicans have long-held those entitlements are on the road to insolvency unless they are fundamentally restructured. martha. martha: doug, thank you. doug mckelway. bill: house republicans say they hope the move will shift the focus to spending and push the senate into passing a budget. remember it has been four years since the senate passed a budget in washington. >> i think it is about time
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the senate did its legal responsibility of passing a budget. we passed one each of the last two years we've been in the majority the ryan budget laid out a plan how to deal with america's biggest problems, our debt, deficit and ongoing spending. if we don't reform we'll end up bankrupting this country and it is unfair to the next generation not to stop this. it is time for the senate to step up and act. bill: republicans referencing the speech from yesterday with one reference to the deficit. if no debt limit is reached, however, the government could default on its obligations within weeks so watch that story. martha: well, this is an interesting one. pro golfer, phil mickelson, doing a little bit of backpedaling today saying he regrets the public comments he made on the issue of his taxes in california. mickelson said he may move out when he made the original comments, of the state, because all taxes combined end up to more than 60% tax rate. now he is telling fox news contributor jim gray, quote, finances and taxes are a
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personal matter and i should not have made a opinions of, on them public. i apologize to those who i have upset or insulted and i assure you i intend not to let it happen again. why would he feel the need to do that? stuart varney, joins me, anchor of "varney & company" on the fox business network. stuart, this is an interesting one. >> it really is. the left beat up on phil mickelson big-time because he complained about all the tax money he has now got to pay. specifically you had, basically the left is saying this. hey, you. you make a lot of money. pay up and shut up. listen to len berman. a professor at syracuse university, writing in "forbes" magazine. he says that mickelson should stop whining and give thanks that he makes a lot of money. and basically, mickelson is lucky to be making all of this money. so that is the backdrop here. the government takes 63 cents on the dollar what you make and you may not complain, and if you do complain, you will have to
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apologize for the complaint later. extraordinary situation. martha: it is an extraordinary situation. i think a lot of folks on the other side feel phil mickelson should not have to apologize for anything. >> yes. martha: he is talking about his tax rate. he is raising the question. he pays millions and millions of dollars in taxes. at what point, certainly he has the right to live wherever he wants. >> yes he does. let me give you an example of this. last year the "san francisco chronicle" reports that phil mickelson earned $60 million. the extra tax that he would pay on that income, just from the increase in the california state income tax level, that extra, $1.8 million. he has higher federal taxes to pay this year, higher california taxes, social security, self-employed, that is 12%. his deductions have been cut. medicare taxes gone up for phil mickelson. interest, dividends, profits, taxes all gone up. workman's compensation in california, astronomical. he loses 63 cents on the dollar. when he complains and says i
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might have to move out of california he is excoriated by the left. they say, pay up and shut up, be quiet. martha: when you put it that way, in terms of the every dollar that he makes, 63 cents of every dollar going to the government, he certainly has the right, the original comment was, there will drastic changes for me pause i happen to be in the zone both targeted federally and the state. it doesn't work for me right now. i will have to make changes. companies move out of states all the time when they feel taxes are not to their benefit. >> this is competitive tax environment. don't forget he could go to texas, he could go to florida. there is no state income tax at all. in california they take 13.3% of every extra dollar that phil mickelson ever makes. he has mobility here. he can leave. when he says he is thinking about leaving, they say, you better apologize for that. martha: stuart, thank you. >> sure. martha: interesting story. >> yeah. bill: jim gray, veteran
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sportscaster, fox news contributor, talked to mickelson last night. he will join us last hour. martha: right. bill: it is a free country. still a free country right? i think it is still a free country right. martha: last time i checked. bill: if he wants to move to florida or texas. that is his option. he wasn't off the number with our brain room, taxes in california going up the way they are. 24 hours away from secretary of state hillary clinton testifying for the first time on benghazi, libya. a key republican on the committee, what questions does he want answered? martha: don't hold back. plus defense secretary leon panetta now calling al qaeda a cancer that the u.s. must fight back against. ambassador john bolton is wondering why he wouldn't feel that way all along about al qaeda. big questions. he will talk to us. bill: it is january, right? how about 50 degrees below zero? there is an arctic blast and a chill spreading misery to millions. how long would this last or
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could it last, rather? >> was to go over the pa no more. i'm just sitting here tonight. i will not play out there for five miles-an-hour. just the way life goes. ting lin, marching band playing ] [ male announcer ] the rhythm of life. [ whistle blowing ] where do you hear that beat? campbell's healthy request soup lets you hear it... in your heart. [ basketball bouncing ] heart healthy. great taste. mmm... [ male announcer ] sounds good. it's amazing what soup can do. stress sweat is different than ordinary sweat. it smells worse. get 4x the protection against stress sweat. introducing new secret clinical strength stress response scent.
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bill: at this precise hour, tomorrow morning, we expect secretary of state hillary clinton to give her first in depth account before congress about the circumstances surrounding the attack that killed four americans in libya, including our ambassador chris stevens. tennessee senator, republican bob corker with me, a member of senate foreign relations committee. he will be in the room tomorrow. we'll be watching. senator, good morning to you. >> good morning, bill. bill: there is a lot to go through here but i know you thought about this and thought about it at great length. what is the critical question that you need answered to be satisfied with what happened there in libya on september 11th? >> bill, i was in libya, right after the attack and was able to see the shock on the faces of people who we
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have there in libya, and the fact they were on a at the time they are while they were there and -- tether and not supported adequately. this will be last time senator clinton will testify before the senate with the kerry confirmation coming right behind. there will be a lot of focus on the state department and the systems and the internal accountabilities and, it feels to me, like a lot of this was because of just a state department that is stovepiped. it is almost full of sclerosis and unable to attend to the issues of security and make decisions that need to be made in this regard. i think you know --. bill: but with that, to that regard, senator. >> okay. bill: there seems to be this constant theme about folks in washington wanting to know whether or not she was aware on the decision-making as to whether or not adequate security was in place in benghazi. >> right. bill: is that not the heart of this? >> i don't think there is any question she will be
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asked that especially with some of the cables we've all known about from chris stevens and some of the concerns and the fact, you know, the first thing that people up here want to talk about, bill, is money. that is the very first thing that came out of the arb. that was really disurge coulding to me because, we had people there from the defense department that had been assigned. they were there at no charge to the state department. and they were sent away in mid-august and there was no excuse for that. there is also the issue, bill, of just the administration's overall policy and the fact that they were spiking the ball on al qaeda throughout the course of this entire campaign and yet we're seeing what is happening now in mali and algeria and other places. certainly what happened in libya. so there is this overall big question of how this administration is dealing with extremists and militants and the fact that they have focused so much on the afghan-pakistan area.
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that is sort of the core of al qaeda but there are all these nodes scattered throughout africa that obviously are a threat to western civilization. it is after they have taken their eye off the ball. bill: we'll hear about that tomorrow. three quick questions on this. do you think she has been honest publicly to this point? >> well you know she really hasn't said much publicly and certainly she was not the one that came forth on the sunday morning after the famous five programs that susan rice was on. i have talked to her and certainly saw her yesterday at lunch and talked to her a little bit about her testimony tomorrow. i think she has been forthcoming. i do. i just don't think it has been extensive. up until this time because of injury she sustained from a fall at her home, we have only had undersecretaries there but i have a sense that she --. bill: tomorrow is different, certainly. >> that's right. bill: do you expect bombshells that we have not yet anticipated, senator? >> i really don't expect any
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bombshells and the reason is it has been 4 1/2 months now, bill. we have all gone through myriads of cables. homeland security issued a report, lieberman and collins. we've all been through, so the private testimony and classified settings. i don't think there will be bombshells but i think especially with what's happening throughout north africa right now, there are going to be a lot of questions about just the overall policies of this administration as it relates to aqim. i don't expect --. bill: tomorrow then does it end this issue? that's what you're saying? >> no, i think i think this is the beginning really of looking at these expeditionary programs that we have in places like libya. there is no question there hasn't been the accountability within the department. there is really no one who's lost their job over this. we had a resignation or two. i think this with will be
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the beginning, i hope, as i hopefully become the ranking member of foreign relations over the next few days, of a top to bottom review of the state department itself. i think it is a department that doesn't think outside the box. i think it leaves people in places like benghazi and tripoli in a state of not really fully supported. i think this hopefully will be much more oversight by the senate and congress as we move ahead. bill: we're watching senator, tomorrow morning at this hour. bob corker, republican from tennessee. >> thank you. bill: martha. martha: a discovery that is out of this world but us did it prove that life really did exist at one point on other planets? we'll look at the compelling evidence. bill: here is a place you don't want to sleep. a woman survived by a giant boulder crashing through the window while she was sleeping. oh. that. >> that ridge up there bothers me. could you have a big boulder
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bill: one person dead, several injured after a helicopter crashes into a home. this is the scene now in brazil's capital city. look at that the pilot is dead and three passengers injured on board. no one on the ground was hurt. neighbors say they're thankful the crash was not worse. a chopper was being operated as an air taxi which often are used around sao paolo's congested roads. martha: all right. well we have been following all of the activities surrounding the inauguration. president obama's second inauguration. the term begins, began officially yesterday because he was officially sworn in on sunday. so we're watching the scene.
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this is of course the national cathedral in washington, d.c. the president is getting ready to attend the national prayer service. the vice president will be there of course as well. it is a tradition that dates all the way back to president george washington and it is also remarkable scene, bill, when you see everybody file into the national cathedral in washington. sort of the nation's church in many ways. we see so many official events here over the years. all of the former presidents in my memory have gathered there for different state funerals and different occasions. this morning we wait for president obama. and the first lady and vice president joe biden and dr. jill biden. bill: i think the last time we watched a ceremony going back a few months was the memorial service for neil armstrong, the first man to step foot on the moon. it is always such an elegant day indoors. today is a great day to be indoors if you're in washington, d.c.. martha: temperatures dropped
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dramatically, about 50% overnight in washington. our own steve centanni is live at the washington national cathedral. steve tell us, you're out there in the cold, buddy. tell us how it is going there and what we expect inside where you would like to be. >> that would be nice. a very cold morning here at washington's national cathedral. about 20 degrees out here. we expect the president and the vice president at 10:30, for this service which is a tradition to wrap up inaugural events here in washington. we, it is an interfaith service and a lot of dignitaries will be here. now of course the national cathedral, a landmark in the nation's capitol. this event goes all the way back to george washington and we'll be repeated today. just sort of cap off the inaugural events that have been going on for the past several days here in washington. now, this cathedral of course was damaged in 2011.
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suffered severe damage. could take about 10 years to get it back again. it will cost millions of dollars to do that. so that service getting underway at 10:30 this morning. we'll keep an eye on it for you. martha: you're talking a little bit, steve, about the historic nature of this cathedral. these events of course, but the building itself? >> reporter: i'm sorry, was that a question? martha: yes it was. it is so cold down there. and steve centanni is doing a heck of a job with this. you mentioned steve, there was history of the building itself is also very significant? >> reporter: oh, of course. this is the national cathedral where many state events have on about held. funerals for presidents. speeches by famous people and by world leaders and woodrow wilson is buried here. he is the only president who is buried here. and it took nearly 100 years
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to complete construction of the building. it is one of the largest cathedrals in the world, a lot of people don't realize that. also a big tourist attraction here in washington, d.c., and a maintain stay of the nation's spiritual awareness. today one of the most important events of the inauguration will take place here in just a few hours. martha: it sure will, steve. get inside. it is freezing out there. we're told it is 20 degrees but feels like five degrees outside. thus the hat and chilly voice and we thank you very much, steve centanni for that coverage. boy, oh, boy. bill: with all due respect to our colleague --. martha: we were lucky. we were outside not too bad. bill: steve was running to make the live report on that moment and that the reason --. martha: he can't breathe because it is freezing cold. bill: hang in there, steve. you only have 10 more hours to go. new warning from defense secretary panetta.
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how he says the u.s. should respond to the deaths of three americans in algeria. martha: talk about the cold. the winter weather is causing dangerous conditions. what police say may have caused, have you seen this? an 86-car pileup. >> never seen anything like it in my life. i called my boss freaking out. i called my wife. this is the worst thing i have ever seen. [ man ] ring ring... progresso this reduced sodium soup says it mahelp lower cholesterol, how does it work? you just he to eat it as part of your heart healthy diet. step 1. eat the soup. all those veggies and beans, that's what may help lower your cholesterol and -- well that's easy [ male announcer ] progresso. you gotta taste this soup.
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bill: this is cleveland, ohio.
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it is nine degrees real temperature. it is 13 below with the windchill. this is the just the beginning of arctic blast so many millions of you out there are feeling. so winter is here. a lot of folks thought it was a little mild up until about the third week in january. martha: first we've seen of it really. bill: yes, but it changed and it changed quickly too. as this moves across the country we'll take you there. not just cleveland but so many different states suffering from this. top of the hour the full forecast as the arctic chill hits all of us. 9:33 in new york. martha: so defense secretary leon panetta is now calling on the u.s. to quote, fight back against al qaeda after learning that three american hostages were killed in the algerian terror attack. two of those victims we now have pictures of, victor lovelady and frederick butacio seen in the pictures of the last week secretary panetta issued this warning
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to the militants. >> terrorists should be on notice that they will find no sanctuary, no refuel, not in algeria, not in north africa, not anywhere. those who would wantonly attack, our country and our people will have no place to hide. martha: there you have it and there are the pictures of the victor lovelady and fred butaccio, two of the three americans killed in this horrific attack on that energy facility in the algeria. i'm joined by ambassador john bolton, former u.n. ambassador and fox news contributor. good morning . what do you make of leon panetta's comments? what do they mean to you. >> i think he is right on
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target. they sound like comments from a man who is about to leave the obama administration which he is. the president in his inaugural address said a decade of war is ending. when he accepted the democratic presidential nomination on september 6th. he said al qaeda is on the road to defeat. five days later, ambassador chris stevens, three other americans, killed in libya. we see the french in operation in mali against an air i can't -- area that al qaeda terrorists carved out the size of texas. as you mentioned this terrible hostage-taking in algeria where there are at least 37 dead and quite likely more. the war on global terrorism is far from over. and so secretary panetta may want to talk to the president about that. >> what we've seen, the war against terrorism and the obama administration has existed in drone strikes in terms of the major mo. we know that we're
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obviously, you know, on the road to pulling out of afghanistan and iraq so that is clearly what the president is referring to but would you be surprised to see an attack against moktar, who led the attack and looking for attention in the ranks of al qaeda? >> i would be delighted but what we really need is a strategy, not drone attacks. the president has tried to define terrorism very narrowly to the al qaeda leadership in waziristan on the border between pakistan and afghanistan. that is obviously an important component and but it is not the global terrorist threat. and not, even the bulk of the threat we now face. it is not just al qaeda. throughout the middle east the rise of radical islamists regimes i think threatens us in many ways as well and you can't ignore it and you can't talk as the president did yesterday about peace in our time, a phrase from neville chamber
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lane for goodness sake. amazing how that phrase got in his inaugural address and ignore what is going on in the real world. martha: you make a fascinating point with that. when you look back to the time when neville chamberlain said that and what was to come in the world following those comments and you and many others who are like-minded really feel the scourge of al qaeda is growing in fact in this area. i was so struck to cover "the new york times" the other day, i think it was saturday morning maybe, after leon panetta made the comments and we started to learn the about the deaths in algeria, had a front page story, maybe the arab spring wasn't what it appeared to be originally. you were screaming that from the rafters back, you know, back when the president of egypt was falling. i mean, how off base is this administration in your opinion and how dangerous is that potentially? >> well, i think it's off base and it's very dangerous. you don't have to be in london as i am now to think
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about neville chamberlain when you hear that phrase, peace in our time. british prime minister david cameron, who hardly has been a hawk on these matters has said here in the past few days that we may be looking at decades of struggle against al qaeda and i think he's right. i think the global war on terrorism has not gone away. we can ignore it in the united states when there aren't manifest stations of it -- manifest stations of it, we've been at war with al qaeda in afghanistan and it is happening in north africa. we can follow the peace in our time approach and get serious about the threat before it strikes in the american homeland again. martha: well, it certainly hit home for the three americans killed in algeria. they know there is clearly a war still going on. ambassador bolton, thank you very much. we'll see you soon. >> thank you. martha: as i mentioned three americans died in the terror attack. seven others survived. incredible story of a
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colorado man, steven wysoky able to escape hiding from the terrorists, hiding under his desk almost three days so they wouldn't know he was in the office of the his incredible story is coming up at the top of the 10:00 hour. bill: listening to hear senator corker talk about the hearings tomorrow with secretary clinton and how algeria is now in the headlines. it moved into that geographic area of libya and algeria. now mali too. martha: what happened in mali and algeria, makes what happened in benghazi part of a larger piece we'll hear about tomorrow, no doubt. bill: meantime we will have the hearing tomorrow. today a rude awakening in utah. a massive boulder crashing through a woman's bedroom. here is the rock almost entirely lodged in the side of her house! causing some serious damage after getting this, rolling down from a nearby hill. the woman's husband saying he warned about this very thing when they first bought
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the house. whoa!. >> the officer told me she had been in an accident. she recently bought i car, that is what i thought happened. unfamiliar vehicle and she had a smashup or something. just going to be that she needs to, listen the profetic musings of her husband more often. bill: indeed. the profetic musings from her husband. martha: ultimate i told you so, right. bill: she suffered injuries including a broken jaw. she will not be able to speak for a couple of weeks. look at size of the boulder at the house. husband called it from the beginning. martha: told you a big boulder would roll into our bedroom. bill: check of the markets right now. we're watching the dow, off a little bit.we're closed for tg yesterday because of martin luther king day but on friday we, well we were at 13,640, 650, something like that on friday. we're right about that right now. it is earnings season so a lot of these companies will
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tell us how they're doing and big numbers coming out later today from a lost american companies. we'll let you know what happened then. martha: they have been doing okay. bill: so far. martha: a lot of people in the economy don't feel okay but companies are making out fine with the earnings. meantime lawmakers on capitol hill getting back to the business of the nation and spending. >> we need to solve these problems. it reminds me of the old jimmy buffet song, if the phone doesn't ring it must be me. like waiting for the senate to pass a budget. martha: what the president's call will mean for future budgets and taxes. the sea change we could be seeing now from the reagan years. >> we must take further steps to permanently control government's power to tax-and-spend. we must act now to protect future generations from government's desire to spend its citizens money and tax them into servitude when the
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bills come due. let us make it unconstitutional for the federal government to spend more than the federal government takes in. i need to rethink the core of my portfolio. what i really need is sleep. introducing the ishares core, building blocks for the heart of your portfolio. find out why 9 out of 10 large professional investors choose ishares for their etfs. ishares by blackrock. call 1-800-ishares for a prospectus which includes investment objectives, risks, charges and expenses. read and consider it carefully before investing. risk includes possible loss of principal.
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martha: big election day today. voting is underway in israel for the country's next leader, current prime minister benjamin netanyahu voting today. expected to win re-election but with a smaller majority than in 2009. results are expected in this afternoon and we will have them for you live whether they happen. bill: in our country now the president setting up the next round of big budget battles. mr. obama defending the role of government in reaffirming support for major entitlement programs, the drivers of her debt like medicare, medicaid and social security, leaving many to wonder if any of d.c.'s spending will decrease. in fact democratic senator chuck schumer already suggesting that taxes may need to go up again to pay for all those bills and all that spending. stephen hayes, senior writer,
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"weekly standard", and fox news contributor has been on this. steve, good morning to you. how are you doing, post inauguration day? >> doing well. bill: give us a sense about what we can expect to happen in your town next. >> well, i think very little. you're looking at a spending, spending trend that is unlikely to change anytime soon. we've already seen this, hints of this in the early stages of this battle with the fiscal cliff and the discussions over the debt ceiling. i think we saw in the president's speech yesterday an unwillingness to do anything significant to change the trajectory of u.s. debt the president just doesn't seem that interested in the issue. bill: you wrote this morning, "the weekly standard", obama doesn't care. that is the sentence, i'm reading right there. you look at the debt, the way even the white house projection for 2016 is extraordinary. will be at 21 trillion up from the 16 trillion now. effectively in eight years you double the debt and then some. >> right. bill: here is the question. what is the wager this
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president is betting on going forward? does he believe that in 2014, if you stall this thing out for two years and give yourself a chance to take pack the house, in 2014 is that the wager now, give you two years to do what you want, between 2014 and 2016? >> it may well be but the fact remace -- remains, the quote, unquote rich and confiscate the wealth and it will not do anything to solve the lon term problems of u.s. debt. it could take a short term chunk out and take a significant chunk out of our current deficit and debt and bring down the debt slightly but once you look at the trajectory of programs like medicare, medicaid, social security you're looking same long-term spending trajectory and same escalated levels of debt of the i don't know his strategy. when he came into office in 2009, shortly before he was sworn in as president he promised to cut the deficit in half and said that
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entitlement spending was going to be central to those changes. he hasn't done anything about it. he never offered a plan. he mocked republicans when they offered a plan. when david axelrod asked last summer about the president's priorities for second term, he listed six issues. didn't once mention debt and deficits. we saw yesterday the president had a sum total of four sentences on debt and deficits as he launches into his second term. it just seems like the president doesn't care about cutting spending. bill: but would suggest, then, steven, he doesn't think it is a problem and that's what you write this morning in "the weekly standard." but again, back to the question, when you look at the way the sequester vote was played, that was pushed off until after the election. you essentially made a wager if you win the election you can forgo all these difficult decisions. >> right. bill: so now, if you continue to drag it out, and you get a midterm in two years, and if you win, you can run the field. >> you can run the field but what does that mean in terms
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of spending? the only places the president indicated willingness to do spending is defense cuts. he signed on to some cuts reached by members of congress in consultation with the white house but they're short-term cuts to discretionary programs. you're still not talking about the long-term structural reforms to entitlements that we need to remain solvent and avoid a debt crisis. until the president leads on that, much less, i think he needs it speak on it. until the president leads on that we're unlikely to see any kind of changes. i don't think that will happen. bill: day one, man. i guess today is day two. >> that's right. bill: see you soon. stephen hayes in washington. martha, what's next? martha: highway horror in this massive pileup that involved nearly 100 vehicles. and we're now learning it left a 12-year-old little girl dead. what police believe caused this deadly chain-reaction crash. bill: those images are stunning too. martha: awful. bill: strongest evidence yet
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bill: dramatic end to what police describe as a slow-speed chase. police getting calls that this van was driving erraticly and the chase ended when he rear-ended another car that landed in a homeowner's front yard. police arrested the suspect after that incident. no serious injuries have been reported there. martha: go to outer space tore for a moment, shall we? scientists are finding strongest evidence yet that there may be or have been
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life on mars. the mclaughlin crater may have proved that the planet supported life at one point. welcome back. >> nice to be on. martha: they started looking at craters when the meteor hit, it tossed up what was underneath and they're finding things buried below that may give them more evidence, right? >> exactly. for 30 years nasa focused on one thing, looking on the surface of mars for life but life is harsh on the surface if there is any because of ultraviolet radiation from the sun and it is below freezing. this is game-changer, underground. half of life on the earth is under your feet. this is, we could have been barking up the wrong tree. martha: when you said that to me it really struck me. half of life on earth is not us walking around driving our cars, it is going on what is below there. >> think of fungus, spores,
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algae, bacteria that exists under your feet even in deserts and harsh regions but on mars, because of the surface that it is bleached we think meteor craters perhaps ruptured the surface of mars and perhaps this clay and carbonate material compatible with life was thrown into the space, creating a crater. so why not focus on craters? this is a game-changer now. we're beginning to reshift our focus now to the mars that exists under the surface. martha: what is it going to tell us about whether or not life existed? like anything similar to march shuns or human life or anything along those lines? that is what people really want to know. >> i don't think we'll find any little green men. martha: no green men. >> if you take a look at journalists say, they say follow the money. scientists say follow the water. you have clay you have carbonates. when you look at the mclaughlin crater, bingo.
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they find evidence of clay. this is perhaps the most likely place to find bacteria life, microbial life. sorry about that. no little green men. martha: very tiny, tiny little green men, right. >> that could be a game-changer. if we find evidence of dna on mars it could change a sense who we are in this universe. martha: always a pleasure to talk to you. thank you so much. taking a moment to look outside our own world to see what is going on there. bill. bill: thank you, martha. a dramatic survival story from the terror attack in the sahara. how a colorado man managed to hide for three days sometimes from terrorists only a few feet away from him. martha: plus the coldest air of the season. a live look at cleveland where it is a slow go this morning. who is being hit the hardest out there in this winter blast and what comes next. what do you need to be prepared for? we'll tell you right when we come back. >> kind of slippery, kind of
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why wait? martha: brrr. winter cold warnings are in effect in several states today. just cold, cold, cold. mother nature unleashing a icy wrath from the midwest to the east coast. several inches of snow have already accumulated. ohio, especially hard hit. bone chilling temperatures making it even worse. brand new hour of "america's newsroom." we're nice and toasty warm inside and we feel for you out there. i'm martha maccallum. bill: i'm bill hemmer. good morning. this was going to happen. winter hitting especially hard. national weather service warning dangerously low wind chills in some states and drivers on the road need to be cautious. if live in one of the states
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unusually, unseasonably. martha: where it has been warm. bill: some folks are happy to see some of the snow like these folks here. >> was out driving. that was more of a problem than anything else. the plows were not out quite yet. >> kind of slippery, kind of slipry. if you go slow you're okay. >> going too fast caused them to lose control. >> anticipating snow brushes, shovels, lots of rock salt, ice melt terse, hopefully some snowblowers. >> i'm hoping for more snow. i'm sorry, buffalo. i know they will be not happy with that answer. martha: this is only the beginning of course, folks. we really haven't had any winter until now. meteorologist maria molina joins us in the fox news weather center. hey maria. >> good to see you. we're seeing cold temperatures across the midwest and great lakes. we're seeing mild temperatures across the last weeks and months. finally back to reality. it is january.
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it is supposed to be cold. it will be dangerously cold. look at current temperatures. these are the actual numbers on the thermometer, not wind chilled value. green bay, nine below zero and minneapolis. and 27 degrees below zero in international falls. feels like 2 below in the city of des moines. temperatures frigid across places in interior northeast. 10 below zero in pittsburgh, buffalo, syracuse. single digits feels like in philadelphia and new york city. feels like 10 degrees in the city of boston. cold temperatures affecting places along the i-95 corridor. cold temperatures are here to stay not only today but as we head into wednesday and thursday. you have to bundle up. we have windchill warnings and advisories. because it starts to get this cold out we're talking about frostbite being a concern and hypotherm yu. if advisories are issued you have to take them seriously.
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you're looking at dangerously cold conditions. as the cold air goes over the great lakes we get snow. that's what we're seeing in sleeve land. the snow is piling up across areas and roadways. you have to drive very carefully. we have the live i am mas i believe. we're looking at other lake-effect snow bands further to the north. you have lake effect warnings not just in cleveland but areas off lake ontario, where some places, martha, are not just expecting a foot of snow but several feet, up to three feet in someplace. >> wow! 25 below in fargo. >> frigid. martha: thank you, maria molina. bill: in chicago, they have ended a streak of 711 days without a subzero temperature. that is over. this morning it is one below in chicago. as for the typical snowfall this time time of year, last couple years have been pretty low. the graph represents the area covered by snow. so far this year it is very similar to how it was in
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2004. so eight years ago. martha: this is a tragic story this morning. a 12-year-old girl is dead and several other people hurt after a massive 86-car pileup that happened in ohio. the i-275 crash was one of at least four pile ups across the state on monday. look at these cars. unbelievable. they say the sudden snow that came through the area caused one or two vehicles to spin out of control. it was then a chain reaction after that. at least 20 people were taken to the hospital. four are in critical condition. >> this car carrying a trailer, he pulled in front of me. a red car came up beside of me, flipped in front of me. then a semitrailer took out the box truck, the trailer. then all hell broke loose behind us. >> never seen anything like it in my life. i called my boss freaking out. i called my wife. i just, it was the worst thing i ever seen. i've been around this part
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all my life, so. martha: really scary. up to 50 vehicles were involved in another pileup on i-75 in middletown, about 30 miles from cincinnati. nobody, thankfully in that one was seriously hurt. bill: so these snow bursts move in and come from nowhere you're driving down the highway at 60 miles an hour you have nowhere to go. like the places in texas sometimes where the fog moves in. you're defenseless. it is just metal into metal unfortunately. this young girl, she paid for that with her life. martha: very sad. very sad. be careful out there, everybody. bill: fox news learning now that u.s. planes are helping out france's military operation in northern africa. the first cargo planes took off out of france yesterday en route to mali's capital city. more are leaving today. greg palkot is live in london. what is happening there today, greg? hello? >> reporter: bill, it is official. the u.s. is involved with the french military operation against al qaeda in africa. u.s. military officials
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telling me this morning that yesterday us air transport planes, that is, c-17s, brought 40 french soldiers and 60 tons of french military gear to mali yesterday. they lst from a french airbase in the southern part of france and they flew to the capitol of mali. there is some question whether they could in fact land in that country but those questions were resolved. three are transporting more gear, possibly more troops today. the airlift i am told will last about a week. the u.s. already has been sharing surveillance data with the french regarding the conflict area and are reportedly considering refueling french fighter jet plains that are -- planes, running bombing runs into mali. u.k., canada, other countries are already pitching in as well. this, bill, as the french troops inside of mali continue their offensive. it is now into the 12th day. in the past days they have moved on one town near the
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capital that the islamist had taken over. just in the past 24 hours. they knocked rebels out of another town along the front line that the militants were holding. again, france started this offensive when they saw the rebels moving from the northern part of that country, which they had occupied and were heading further south. now, of these rebels they include members of al qaeda in the islamic maghreb. that is the same terror group that claimed responsibility for the deadly hostage-taking over the past several days in algeria at that gas many could plex in which americans were killed, were injured and some have now been freed. again secretary of defense panetta has been talking again about this mission. he says al qaeda needs to be chased down and caught wherever they are. back to you. bill: thank you, greg palkot reporting on the story out of london. to our viewers we've been
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showing you this map over the past week. refresh your memory what we're talking about here in the northern part of the country. the capital city of mali is located in this area, in the bottom part of your screen. these islamists terrorists have been operating in the northern part of that country for some time. try to get this working if i can. it is not, capital city is down around here. these islamists have been operating in mali the past year in the northern half of the country. now with regard to the region algeria, something we've been watching with that terrorist activity at the gas plant in the southeastern part of the country in a moment you will hear a colorado man who hid from the terrorists almost three days. managed to survive is just now telling about his story. what happens here in mali, what happens here in algeria, what happens in libya, and also in egypt, all this is related to the news that we've been watching over the past two years. and tomorrow, as we go back over here for a moment, when these hearings get underway
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with secretary of state hillary clinton we mentioned this last hour, martha, what senator corker told us, you know, how much were you aware and how much attention did you give to the growing islamist movement in northern africa? so not only is it benghazi but these other places that are now hot spots. martha: huge concern in linking all those things together. we hope we'll hear a little bit more about that in terms of what is going on from the state department and from hillary clinton. so how about this? this is part of what bill was explaining to you. a harrowing survival story from one of the seven americans who lived through that deadly hostage siege that played out in algeria in the desert. steven wysoky of colorado, hid under his desk for 2 1/2 days while he could hear militants pacing back and forth and searching the building for him. can you imagine how terrified this man must have been? his wife says he was able to survive on a pint of water. he and a few colleagues made a run for it on friday
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morning. thank goodness they were able to get out of there and rescued by the algerian military. 38 hostages did not survive, including three americans. victor lovelady, frederick butaccio. victor's family is speaking out about the ordeal. he was working at the plant for just 10 days when the militants attacked. >> he was really wonderful dad. he told us all the time, we asked him all the time, do you feel safe? do you feel safe, if you don't feel safe you don't have to go. i think so. nothing happened there in sew long. we, my friends have been doing it for so long. it is fine there and so safe. we have protection. martha: so sad. lovelady is survived by his wife, son and daughter who you just heard speaking. his family plans to hold a news conference on this
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afternoon. bill: certainly will be emotional when it happens. 10 minutes past the hour. some of the stories we're watching in "america's newsroom", prince harry talking about his time on the front lines in afghanistan. >> wasn't done in the wrong way but just, --. go the other way. bill: doing his country's work. more of the prince's take on that war in a moment. martha: chilling rescue caught on tape. a woman falls on the subway platform on the tracks. wait until you see what happens. we'll show you the tape. it is an unbelievable story. bill: tough words from a conservative commentator suggesting the president's mission now is to reverse everything that ronald reagan put in place 30 years ago. our panel debates that in a moment. >> this was really obama unbound and i think what is most interesting is that obama basically is declaring the end of reaganism in this speech. jenna shared her recipe with sharon,
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bill: some breaking news from the high court. supreme court will not consider an appeal over how much authority the epa should have in setting air quality standards. that appeal filed by a company that operates one of the three main u.s. copper plants. it was appealing a decision by the d.c. circuit court in july that had uphold the environmental protection agency, the epa's new air quality standard for sulfur dioxide. you got that? martha: got it. bill: all clear? martha: leading conservative charles krauthamer now saying that president obama's inaugural address, was a quote reaffirmmation of his liberal ideologis. watch what charles said. >> i think what's most interesting is that obama basically is declaring the end of reaganism in this speech. this speech today was an owed to big government. it was a hymn to big government. he said number one, i'm going to defend what liberalism has achieved in the 20th century where he
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mentioned social security, medicare and medicaid. i will not let any of that be chipped away. then second, he said, the vision for the future is climate change and green energy. this is his new expansion of liberalism in the new century. martha: joined by bob beckel, former democratic campaign manager and co-host "the five." mary katharine ham editor-at-large of and fox news contributor. welcome. a mini, five. it is a three. bob, what do you think about that, what charles said? >> something to be said about it. reaganism, reagan said the problem is government. martha: right. >> not the solution. yet government during reagan's eight years grew and not a single department or agency was cut. but listen, if this is fundamental difference. certain people believe that government doesn't do anything for people and ought to be just defense. and those of us on the left believe government has an important role to play. he did not say chip away at entitlements by the way,
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with all due respect to krauthamer. he is wrong about that. he didn't say, left himself an opening. he will change entitlements. it has to happen. that is not a fair statement to say. as far as liberals versus convervatives. that is right. it reaffirmed our position. you're right. we won the election. martha: what is fascinating, bob, mary katherine, jump in on this, very little discussion about the economy. very little discussion about jobs. when he started talking about climate change, am i living in the same, you know world in terms of what is going on? because you can, we could argue about climate change and taub about the environment on a important issue no doubt but is that a priority issue when talking finite space of the inaugural address is that where you want it spend your capital, mary katherine? >> he likes to give an overarching speech and a pretty speech to lay down some more historical markers. i think that is the point of this. i think he feels unleashed as liberal. better couching things in centrist teams even though
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his beliefs are liberal. when it comes to climate change and economy and jobs it felt like that was a gaping hole. if you're not so concerned about the debt, many americans are, sometimes rank it second in their concerns but certainly the economy and jobs were not mentioned alot. as if almost 8% unemployment is okay and eight million people in the job market is okay and we're moving on to other things. >> you said, unleashed. if we're a bunch of dogs tied down. >> yes, that is exactly what i meant. >> i thought so. >> thank you for stating it clearly. martha: obama unbound. that he would feel of course, unfettered now that he doesn't have to face election again. he can sort of lay out his thoughts. >> just a vocabulary word. martha: i'm fascinated. if the president is going to embrace, sort of entitlement society, a government society where government is here to help, right, which is the exact opposite what ronald reagan said. he said that was the greatest oxymoron ever.
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that i'm here from the government and i'm here to help. you have to look how successful that has been? how successful the government helping people been? look at unemployment, unemployment among minorities right. that raise as question. look at this program and this way of thinking and ask ourselves lifted people up, has this genuinely helped people to prosper in the country? >> when you say unemployment thing, second to last major inaugural speech you don't raise bad topics. that is one thing. i'm not surprised he didn't do it. i wouldn't either. it was obviously glaring hole people say why don't you say saying in unemployment. what has the government done to help. every major high-tech company owes the federal government existence because of the internet. space program opened up millions of jobs because of the space program. martha: if a chicken and egg thing. private enterprise, ended up prospering based on the growth of railroads in this country and technology in
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this country and so many of those companies now, mary katherine, weigh in on this, people like all they want to do is get a small as they possibly can so that they will be able to survive. >> i think this is, if i can borrow the president's words, false choice, going the alone as the president sort of implies, people like me only want people to do things by themselves ever and other option is the most giant federal government we could possibly have. the government ain't going anywhere. it got bigger during reagan. we're not getting down to that point. what which can do, say, certain groups like churches and civic organizations and state governments can do things better in fact sometimes than the federal government and relying entirely on that, often doesn't work as i noticed for past four years and perhaps low income folks and black an hispanic students in inner-city schools where the entirely state-run liberal union run project of public schools is failing them most of all. >> you're from north carolina. you have a good education system down there. i'm not sure i would necessarily turn it over it with all due respect to our friends in mississippi, the
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railroad is a good question you raised. federal government gave the land to the railroads to run railroad across the united states. talk about a false choice. the false choice is saying government doesn't do anything good. >> did i say that. >> i put words in your mouth. if you on with me more you're going to find out i'm going to put words in your mouth. martha: bob, mary katherine, look forward to with more fun. >> four years to get mad at him. >> don't hit too hard. martha: i like when you come up to the set. >> we do too. gave us 60 seconds notice from the basement. martha: good workout. bill: i thought you were a georgia girl? you're north carolina? >> i went to school in georgia but go dogs. martha: he is laughing. bill: iran claims that an american pastor imprisoned since september will be freed. his wife says don't buy it for a minute. why she says that report is just a flat-out lie. plus as the gun debate rages we talk with criminals serving time on how they got
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martha: we showed you a little hint of this before. this is surveillance video after dramatic subway rescue. watch this. an unconscious woman, god lord, she fell onto the tracks. it happened in madrid. police say she fainted and fell head first onto the track as the trip was approaching. an off-duty cop jumps down there. you see him in action. pulled her to safety. other passengers are waving their arms trying to get a driver to stop. she was given first aid by a doctor waiting. she is pulling her up on the other side. bill: she was lucky woman. sometimes just depends on time of day as to whether or not there is somebody there to help you. one lucky woman right there. martha: very lucky.
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bill: so the president proposing universal background checks for all firearms arms sales. what about criminals to get their weapons illegally? william la jeunesse is on that story live in l.a. with more now. william, good morning. >> reporter: yeah, bill. they say laws for are the law-abiding. background checks are supposed to stop what the government calls prohibitive possessers, illegal immigrants, adjudicated mentally ill and felons who face few penalties for it. maricopa county jail in phoenix, arizona. is it hard for a person with criminal record to get a gun? >> no. >> reporter: while washington debates back ground checks for law-abiding gun owners. where do criminals get their weapons. >> people usually go through other people to buy it. >> i say 95% off the street, crime guns. >> reporter: survey of 18,000 prison inmates found 40% get their guns off the street, 40% from friends and family. 4% from pawn shops.
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1% from free markets and gun shows. >> got a second degree burglary charge. >> reporter: we asked inmates incarcerated primarily for robbery and burglary do guns detour crime. >> if you're trying to do something, bad or whatever, get away with them, obviously not going to deal with somebody who has a gun. you don't know if someone has one or not. you should think twice before you approach anybody. >> reporter: in 2008 a memphis newspaper published a gun owner database. following that, burglaries increased in zip codes with fewer guns, and fell where criminals believed homeowners to be armed. if you knew a homeowner to be armed, would you avoid that house. >> absolutely. absolutely. >> you bitter believe i will pick a guy who doesn't have a gun in his house old as opposed to guy who is armed. i mean, to me, petty cash is not worth the risk of dying. >> reporter: now according to the department of justice,
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84% of felons use ad gun to commit their crime. 67% recommitted a crime within three years but, bill, federal prosecutions for gun crimes are down 17% in five years. bill: that is interesting. thanks, william. william la jeunesse in that story, in los angeles. martha. martha: prince harry making some very big claims about his latest tour of duty in afghanistan. what he says happened while he was there. bill: also pro golfer phil mickelson first made headlines this week when he talked about how much he pays in taxes in the golden state. he is talking again. what he said this time. ♪ . music: "make someone happy" music: "make someone happy" ♪it's so important to make someone happy.♪ ♪'s so important to make meone happy.♪ ♪make just one someone happy ♪and you will be happy too.
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new honey bunches of oats greek yohere we go.ole grain. honey cornflakes and chunks of greek yogurt. i'm tasting both the yogurt and the honey at the same time. i'm like digging this yogurt thing. i feel healthy. new honey bunches of oats greek.
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bill: iran says an american pastor held on charging ofee advantage hraoeuzing wilwill be soon free. a trial started yesterday. jay serbgs culo is president of the association representing the pastor's wife. they live here in the u.s. there is an update you've heard. what have you heard out of teheran today? >> there are a couple of things. number one there was a report yesterday that the judge during the trial set bail again so that the pastor could be released, and the fact of the matter is
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while the judge has set bail the bail was refused to be accepted, in other words, the processing facilities will not accept the bail. there's been over 20 attempts, bail has been set for this pastor for five months and they've refused to acknowledge the bail, so the hrert will sa the court will say one thing, this is controlled by the revolutionary guard. number two there is a proceeding going on today, actually as we speak right now where neither the pastor or his lawyer are entitled to be there, and they are allegedly putting on the stand witnesses, including other pastors in the community. one thing that became very clear in the trial yesterday, the actual charge against pastor saeed abedini are potential violations of state security because he started house churches. that is actually the charge that they had this man in jail for in iran right now, and they've acknowledged that. the problem is we are dealing with the rev news airy guard, so
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we are having to get all of the resources that we can muster around the globe to put pressure on the iranian regime to let him out. bill: what is your motivation here? you've watched some of these stories play out. how do they usually end, jay? >> well, you know, hundreds of them end and we don't know how they ended, which means either the people literally disappear, or they died, die in prison or if he are killed. a story fox news covered so well around the globe with all your networks, he was out, his lawyer ended up in jail for a season, is not in jail right now. but he was able to get out of jail. this particular case is unique because not only is this man iranian by nationality, haoes a u.s. citizen, and we've get to get the kind of statement we want. the white house i shall hued a statement through the national security council. we really need the secretary of state to issue a demand for release. i'm very, very concerned, as you
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could tell about where this case is going, and i obviously don't have any confidence in the iranian revolutionary guard, or the courts there, so it's global pressure, and it's governments that do business with iran that we need to put that pressure on. this judge has been sanctioned by the eu, the judge has been sanctioned by the eu. bill: he has a tough, tough reputation too this judge has, and the trial just startek. and his wife is on record as saying that everything that is coming out of there this week is a flat-out lie. what is the motivation beyond iranian media putting this word out, when in fact it's not the case. you're saying now this guy is still in jail, he's behind bars. >> he's in jail, he's facing abuse while he's in prison. and the iranian regime, the revolutionary garcia is trying to utilize the internal media to in order to tamper down any kind of global outreach that is going
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on media wise. what the iranians are doing through their media is no, no, no we are letting him out in a few days. meanwhile they are beating him. bill: torture. >> this is one of the worst prisons, eye rain and prisons. the media is utilizing a distortion campaign. it's called media advocacy. we are putting up the true facts, iran is distorting it to tamper down media significant in what is becoming a dangerous by the moment situation for the pastor and his family. he's 32 years old. stpho: we've been rehroeug on yorelying on a lot of the information from you on this. the reports are not true, it has not met pwaeurblgs it ha bail, it has not been accepted. and he is behind bars. thank you for coming back.
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when you get more come back and let us know. bill: martha: prince harry is speaking out about his time in afghanistan on the front lines e. wrapped up a tour of duty there. he served as a helicopter pilot. what did the prince say that is causing immediate sensation across the pond about this? >> reporter: the prince told an interviewer that while he was deployed as a helicopter gunner he killed taliban. it's the front page headline in at least one british tabloid. they say the remarks could raise the threat level against the principal. it was made public only eave was safely out of afghanistan. >> we fight when we have to, take a life to save a life. essentially we are more of a deterrent than anything else. >> reporter: the prince known in the military as captain wa hrerbgs s was part of a two-man cry. says once the order was given
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his a apatche could be in the air as little as seven minutes. >> as soon as you quit clearance froget clearance from the officer, straight up. it could be anything from a medivac through to troops in contact, through some priority regarding a weapons system. >> reporter: the prince's security detail accompanied him on base but not when he was flying. as much as possible he liked to be one of the guys. take a look at what happened in mid sentence during the interview. >> it wasn't done in the wrong way but it was just -- >> reporter: when asked if there was someone special waiting for him at home, he didn't want to answer that question. he declined to comment, but he did say interestingly and i'm going to quote him now, he did say i don't think you can be
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urged to settle down. soerbgs ladies, reaso, ladies read into that what you want. martha: maybe there are several someones waiting at home. one of the most eligible bachelors in the world. he had a little run in in las vegas before he left for this trip. >> reporter: indeed he did. before heading off to afghanistan the prince did create quite a stir when pictures were published of him playing strip pwhreul yard billiards in las vegas. he was photographed and created a sensation around the world. he says it was an example of being too much army not enough prince. >> i let myself down. i was in a private area and there be a certain amount of privacy that one should expect. back home all my close friend rally around me and were great. >> reporter: speaking about the media he says he hopes his sister-in-law kate will be given privacy during her pregnancy.
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lastly he says he can't wait to become an uncle. martha: uncle harry. he'll be fun uncle harry, no doubt. >> reporter: indeed. martha: to that little royal. david lee, thank you very much. bill: he won't miss the party will he. lawmakers scrambling to raise the debt thrilling. 16.4trillion in the hole now. republicans in the house have a plan, so what will that mean for you and your bottom line? martha: new fallout today from phil mickelson's comments about his taxes, why he said they could force him to make some drastic changes in his life and why he is now apologizing for that? >> with his career earning inks i don't think it really hurt him that much just to stay in laugh. >> at some point there is a balance where you say work is not worth it. and we are the highest state in the nation. people are really thinking, does it really make sense to be in california?
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martha: welcome back, everybody. of the house is set to vote
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tomorrow on a republican bill that would extend the nation's borrowing limit until may 19th, would be the new deadline. this move puts pressure on senate democrats to pass a budget, something that they haven't done for over four years. trying pulling that at your job. matt mccall is the president of the pension group l. l. c. steve more is with the "wall street journal." good to have you loath here. let me start with you, steve, get your thoughts on this proposal to sort of tie whether or not members of congress get paid to having them do their job and creating a budget. >> love that idea. people don't get paid if they don't do their jobs, this is one of the constitutional responsibilities of congress is to pass a budget. that's why we elect these people. and as you just mentioned, martha, it has been almost four years since harry reid and the democrats have passed a budget. i think there is a larger point here. everybody in washington, especially the democrats, are celebrating the republicans blinked here and there is no
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question they blinked in the showdown with the president and are giving him another three-month debt extension. you know the real problem and i just want to make this point, the problem isn't whether we are going to have a debt limit showdown, the problem is that we are borrowing $16.4 trillion. all we are doing here, martha to be realistic about it is we are saying, coach doing what you're doing, we are going to keep borrowing at the same pace. this is not a solution. martha: matt, i look at this i feel like every time there is a so-called deadline we all know that the deadlines are so squishy and congress always figures out some way not to have to feel with the deadline and live in the real world and get the work done. i think people are sick to death of this. >> we've almost become numb to it i think. last year when this was going on the stock market got hit really hard leading up to a deal finally seeing done. you're not really seeing the stock market react. that tells me we've had enough when it comes t to politicians
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kicking the can down the road. this vote does exactly the same thing and gets nothing done. steve mentioned, the bigger picture here is the democrats want to raise revenue, they don't walk to spending, they want to raise revenue and taxes. the issue is we keep spending too much. martha: that issue, steve, is not resonating in the halls of washington d.c. right now, and some people who are supportive of the conservatives feel like they are not -- holding up their end of the bargain either. >> there is a lot of frustration among conservatives around the country, when you think about first the republicans were going to hold tough on the fiscal cliff and they kind of blinked on that. we had the big sandy relief bill, $60 billion of mostly pork barrel spending, republicans blinked on that. now we have the debt kraoerblgs it looks like the president will get his way on that at least for now. i've been in washington for a longtime, 25 years covering the debt deals and the budget deals.
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what is frustrating about this is that the only time i can recall over the last 25 years congress has had to get serious about cutting spending and reducing the deficit is when they are at the point of this debt ceiling, and the president says we don't want to use that any more as a kind of point of emphasis, and i think that is a mistake, because what it means is we're never going to get serious about the debt unless we use the debt ceiling as that point where we make a deal to reduce the spending. martha: very distressing. matt, steve, thank you very much, guys. we'll see where this goes. we'll see you soon. >> thanks. >> thank you, martha. bill: 13 minutes before the hour and just about everyone is watching their taxes go higher. why is a famous protkpwoefrl and a pretty good one at that, why is old lefty apologizing for that. sportscaster jim gray talked to him last night and we'll talk to gray in a moment. martha: how country mikes sensation taylor swift is coming through for one devoted fan in a big way.
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. >> big star taylor swift making a dream come through for one of her biggest fans. the singer flying to michigan on start to have lunch with 17-year-old kayla. she is battling brain cancer and got to meet her idol after family and friends launched an online campaign to get swift's attention. she spent the afternoon with her and her family before presenting her with a gift basket and signed photos. bill: progolfer phil mickelson complains about his taxes saying he may move out of california because it's getting so expensive to live there.
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now he's apologizing, in mart for saying so. why would that be? jim gray, sportscaster, fox news contributor out of california. the land of the taxes. how are you doing, jim, and good morning. you've had some contact with phil mickelson. he put a statement out last night, just give us the the backed on this first and i'll ask you a couple of specific questions about it. >> i think the background is everybody's tax eggs out here in california for most making more than $250,000 went up to 13.3% with the bond issue on the last ballot election, the presidential election. his taxes have increased significantly an makes a significant amount of money we. had a brief conversation about this about a month ago. over the weekend when he was playing in palm springs he said he would have to make drastic change. it got out that the drastic changes and he am pa replied on it was because of the tax trubgt you're here in california and he makes according to several reports and published reports about $60 million a year between
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his salary and income from the golf course, and from his sponsorships. so that's where it went. i texted him, i asked him would he do an interview about this. he said he'd like to think about it. last night about 9:30 pacific time he issued a statement, i got it and sent it on to you all. bill: here is part of that statement you're referring to, jim, on the screen now. finances and taxes are a personal matter and i should not have made my opinions on them public. i apologize to those upset or insulted and i assure you i intend to not let it happen again. to whom is he apologize stph-g. >> ing? >> he also said in the statement, taxes are personal matters and shouldn't be out in the public domain. he's frustrated. a lot of people in california are frustrated. he's not alone by any stretch. the retroactivity of the taxes
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checked are in effect from november 2012, all the way back to january 2012. he's upset with the structure. it's decided that it's best that he decide and make an informed and intelligent decision is the word that he use ned the statement and he's going to do that now and in private. bill: this is what we found. top rate 39.6% federal. california top rate 13.3. if you're self-employed, social security taxes 12.4%. it's common about 63% isn't too far off, that is right in the ballpark. in your line of work you find many professional athletes, many golfers in fact who make their home in the state of florida where there is no state income tax. and that's their way of getting around it. >> and for somebody like phil michelson if the reports are accurate at $60 million a year he would save $8 million by leaving the state and going to texas, florida, nevada, wyoming, one of the states that don't
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collect state taxes. there is a bigger issue here as well and i think we'll start seeing this with a lot of athletes. it's very popular to come and play for the san francisco 49ers or the los angeles lakers, but at 13.3% i think you'll see a lot more people considering florida, considering texas, considering tennessee, there is a new team going to be going up to seattle, the state of washington now in the mba. i think you'll see some of the athletes with salary caps avoiding the state because they can get a 13.8% raise by not playing here. bill: you may be dead right about that. that would be remarkable too. that goes into the busy digs of signing a contract. phil will be out playing this week and the suggestion to the statement is that he might add a little more to this. we'll see if that is the case throughout the week here. it's always good to have you on, jim gray out of california. >> appreciate it. thank you. martha: while we've been talking this morning the president and the first lady and the vice president and his wife, dr. jill biden have been gathering for the national prayer service which is now underway in
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washington, a beautiful, majestic cathedral, the nation's cathedral. we have seen so many historic gatherings there over the many years. that's where you will find the president this morning as he is part of that, which is really the final ceremony of the inauguration. we will be right back with more.

Americas Newsroom
FOX News January 22, 2013 6:00am-8:00am PST

News/Business. Bill Hemmer, Martha MacCallum. News coverage and discussion. New.

TOPIC FREQUENCY Washington 21, California 15, Us 12, U.s. 11, Libya 10, Phil Mickelson 9, Afghanistan 8, Texas 5, Benghazi 5, Obama 4, Hartford 4, Mary Katherine 4, Panetta 4, Cleveland 4, Leon Panetta 4, Mickelson 4, D.c. 4, Steve 4, Advair 4, Iran 4
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